Posted by Shambhu Nath on June 22, 2004 at 12:03:33:
Your mortgage broker should be able to answer that question. Thanks.
FHA - what else do they allow seller to pay? - Posted by Jay
Posted by Jay on June 22, 2004 at 24:34:10:
Can anyone tell me what exactly does FHA allow the seller of a deal to pay legally in a transaction other than the normal 3% of prepaids and closing costs? I have been told that they do allow certain things over the standard 3% normally allowed (but then they dont know exactly what). Does anyone know where I can find this out? I just would like to know this for a deal I am working on now and for future deals. Thanks for your help.
Jay
Re: FHA - what else do they allow seller to pay? - Posted by Tiffany
Posted by Tiffany on June 22, 2004 at 20:29:54:
Typically, a seller will pay:
Tax Service Fee
Underwriting Fee
Processing Fee
Document Prep Fee
Funding Fee
Warehouse Fee
(Each lender may call these fees by different names, so validate fees by asking your lender/broker).
This fee can be @ $1000. You MUST put it in the contract (Paragraph 12 #(3) stating the seller will pay these fees for the borrower. Remind your realtor (if your using one) to put it in the contract.
www.hud.gov provides more info.
Hope this helped.